The Provincial Government is supporting
the establishment of an exciting new industry in
Newfoundland and Labrador with its investment of
$500,000 to provide a 25 per cent rebate to homeowners
on the purchase price of an energy-efficient wood pellet
appliance in preparation for winter.

"The purpose of the rebate program is to
create a local market to enable sawmills in the province
to diversify into wood pellet manufacturing by utilizing
their sawmill residues," said the Honourable Kathy
Dunderdale, Minister of Natural Resources and Minister
Responsible for the Forestry and Agrifoods Agency. "The
rebate program is part of our government’s commitment to
identifying and supporting viable, sustainable forest
sector opportunities in our rural communities. It also
assists residents to reduce energy consumption and lower
their energy costs."

The 25 per cent rebate is available to
all eligible Newfoundland and Labrador homeowners
purchasing the appliances between April 1, 2008 and
February 28, 2009. Proof of installation is required to
receive the rebate. The deadline to submit the necessary
documents to receive the rebate this fiscal year is
February 28, 2009. The original bill of sale and proof
of installation by a certified technician must accompany
all rebate applications.

Anyone purchasing a wood pellet
appliance prior to February 28, 2009 will still be
eligible for the rebate beyond that date once proof of
installation is provided. The appliance, however, must
be purchased prior to February 28, 2009 to qualify.

The guidelines and
application form for the Residential Wood Pellet
Appliance Rebate are available on government’s website
at

www.nr.gov.nl.ca/nr/.
The rebate program was originally announced in April as
part of the Provincial Government’s Forest Industry
Diversification Program.

Wood pellet appliances are efficient,
produce little waste and use inexpensive fuel. Wood
pellets are environmentally-friendly, easy to handle and
store and provide more heat per volume than firewood.

"Producing wood pellets from sawdust,
tree bark and planar shavings will improve the financial
position of sawmill operations," said Minister
Dunderdale. "The rebate will help grow this industry and
create employment opportunities in rural communities,
while assisting homeowners in their shift to a cleaner,
more efficient source of heat and therefore lowering
their energy costs."

Homeowners meeting the program
requirements will receive a 25 per cent rebate on the
cost of purchasing a new wood pellet stove or furnace,
up to a maximum of $1,000 for a wood pellet stove and
$1,500 for a wood pellet furnace.

The Residential Wood Pellet Appliance
Rebate will boost the province’s sawmill industry and
further demonstrates government’s commitment to
expanding and diversifying the industry through
investment in strategic areas. Budget 2008 committed $14
million for the forest sector for initiatives to
identify and develop specific new products and market
opportunities.

The Residential Wood Pellet Appliance Rebate is
part of the $14-million Forest Industry
Diversification Program announced in April to
support diversification initiatives in the forest
sector and identify new market opportunities.

Research indicates that the best opportunity for
establishing a wood pellet industry in the province
initially is to develop local markets. As pellet
production increases, additional markets can be
developed.

Wood pellets are currently imported from outside
the province. The first pellet facility in this
province is expected to begin producing pellets
within weeks at Cottlesville. Another plant at
Bishop’s Falls is in the development stage and is
scheduled to begin producing early in the new year.

The rebate program is consistent with the Energy
Plan. As stated in the Energy Plan, the Provincial
Government will encourage reductions in energy
consumption through conservation and increased
efficiency. This is one of a series of initiatives
targeted at increasing energy conservation awareness
and efficiency.

The Provincial Government is investing $500,000
this year for the Residential Wood Pellet Appliance
Rebate. A 25 per cent rebate is available to all
eligible Newfoundland and Labrador homeowners
purchasing the appliances between April 1, 2008 and
February 28, 2009. Proof of installation by a
certified technician is required.

The
deadline for the receipt of all applications is
February 28, 2009. Applications must be accompanied
by the original bill of sale and proof of
installation by a certified technician.

Installation must be completed by
a
trained wood pellet appliance technician, as
required by most insurance companies. This
certification is from the Wood Energy Technology
Transfer Inc. (WETT), a national association
promoting the safe and effective use of wood burning
systems. A list of certified technicians is
available at

http://www.wettinc.ca
Click on the "find a professional" button and search
for service installation within Newfoundland and
Labrador.

Residential wood pellet stoves can be found at
major home building stores and home heating
equipment suppliers. The Provincial Government is
asking all residential wood pellet dealers to
register with the department for inclusion on a list
of local suppliers to be posted on the government
website and regularly updated. Dealers can register
by calling 709-637-2349.

The availability of pellet furnaces is limited
in the province currently, however, the appliances
can be ordered and a number of heating suppliers
plan to stock the appliances in 2009.

Anyone purchasing a wood pellet appliance prior
to February 28, 2009 will still be eligible for the
rebate beyond that date once proof of installation
is provided. The bill of sale must be dated prior to
February 28, 2009 to qualify. The continuation of
the program beyond this year will be considered as
part of the 2009 budgetary process.

The cost of a wood pellet stove ranges from
$1,500 to $4,500. Pellet furnaces cost in the range
of $7,000 to $12,000.

Applications for the rebate can
be obtained on the government website or from wood
pellet appliance vendors in Newfoundland and
Labrador. Complete details on the rebate,
program requirements and application forms can be
found at

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